Match the Term with Its Definition

question 104

Multiple Choice

Match the term with its definition.
-A form of punishment beyond compensatory damages that intends to punish wrongdoers for gross negligence or callous disregard and to have a deterrent effect.

• A)automobile insurance
• B)coinsurance clause
• C)crime insurance
• D)design defect
• E)manufacturing defect
• F)marketing defect
• G)noneconomic damages
• H)personal property
• I)punitive damages

---

Definitions:

Variable Manufacturing Costs

Expenses that change in proportion to the amount of goods or services produced, including direct materials and labor.

Trading In

The act of submitting a used item as partial payment for another item, often seen in automotive and electronics purchases.

Salvage Value

The estimated residual value of an asset at the end of its useful life, often considered for depreciation calculations or when disposing of the asset.

Market Value

The present cost for buying or selling an asset or service on the open market.